*Loan,banking and credit>>>credit line

My American Express reduced my Credit Line from over 7K to 3,400. and asked the over limit be paid in full.?

American Express reduced my credit limit to half when I was almost maxed out , and asked me to pay almost 4K inorder to stay within limits , Does this qulify for class action suite? It seems its a scam that they give you a limit of 7K and when you have spend almost 7K they instantly reduced the limit to Half and ask you pay the rest... Unbelieveable but has happaned to me.. last year and this was part of the reaon my credit has gone down from 710 last eyar to 550 this year. who should I contact if this is sueable.

They can do this to any account they like and they have been sued for it in the past. The consumer lost and was forced to pay the legal fees of Amex.... the total was over 70k in corporate attorney fees.

Amex is a company that makes money not on interest but on merchant fees. 60% of amex customers pay off their balance monthly. The portion that don't are eventually squeezed out like you have been. Think about it this way though you could transfer that balance and not pay them another dime.

Then who got the best of who. Source(s): Debt Negotiator

1. A class action requires a class or a group of identifiable people in a similar situation. So far, you only mentioned yourself.
2. If you read the original credit agreement, you will see that you agreed to this exact procedure when you opened the account.
Your credit amount is based on your credit rating. When you rating goes down so does the credit limit. Just because your had 7k at a rating of 710 doesn't mean you get to keep it when your ratings drop.
American express is famous for doing stuff like this. the bad news is that it is perfectly legal. it is outlined in your agreement that you acepted the minute you used the card. The reason why they do this is because if you carry a balance on your card for any amount of time american express gets unhappy. they want their money as fast as you use it. there is only one american express card that is not subject to this practice but I can't remember wich one.
Consumer banker at Bank of America